Description: This week Jeff Bezos, the world’s richest man, said he would commit $10 billion of his wealth to a new foundation set up to fight climate change. Amazon has faced criticism for contributing to the climate problem through its many home deliveries and its vast server farms. The new foundation will start issuing grants soon. No word yet on whether the timing of the announcement had anything to do with the anticipated PBS Frontline documentary scheduled for Tuesday, February 18.
Date: February 18, 2020
1) Have you contributed to the Amazon carbon problem by using quick delivery via Amazon Prime or partaking in its web services?
2) Have you or any of your classmates watched the Frontline documentary? What are the strengths and the weaknesses of Amazon’s business model?
3) On page 86 of Wiley’s Financial Accounting:Tools for Business Decision-Making, we read information from a recent financial statement of Indigo, a Canadian company that is a direct competitor of Amazon. What strategy might you recommend to Indigo in dealing with the challenges posed by such a large competitor?